I truly hope Seniors fully investigate the reverse mortgage option. While it is very beneficial to some, it may also not be for others. My fear, especially given the unscrupulous acts of mortgage companies, is that Seniors are not drawn in on false pretenses.
Also, with declining home values, Seniors should be aware this may not be the best time to engage in a reverse mortgage.
Nice article!

While it is true that abuses will happen in ANY form of lending, it’s important to note that with the oversight of federally approved counselors and ridgid oversight by HUD of approved lenders the senior enjoys a few layers of protection.As history has shown time and again, money is never made on the sale but when the purchase is made. It would be senseless for the senior emerging from a “white elephant” of a bigger home to be denied the benefits of the reverse program because they want to purchase a smaller more managable home. And to be frozen by fear or ignorance do to a “sky is falling” mentality is even more foolish.

I don’t understand Texas’s Cowboys statement concerning declining values, if the property’s value is expected to decline then why would you not want to do the deal now ?

Not only do you lock in a higher value but you also start the clock on the automatic 4 % increase in the line amount which will most likely beat any possible increased appreciation for the next few years.